Sanofi shares rise as Q3 results beat forecasts on vaccines and Beyfortus sales

Investing.com -- Sanofi  (EPA:SASY) shares rose on Friday after the pharmaceutical giant posted better-than-expected third-quarter results, buoyed by strong vaccine revenues and robust early sales of Beyfortus, its respiratory syncytial virus treatment. 

At 3:22 am (0722 GMT), Sanofi was trading 1.7% higher at €99.25.

“2024 outlook raised earlier this week as strong 3Q flagged at time of Opella consumer deal, with current cons already around the midpoint,” said analysts at Jefferies in a note. 

Sanofi’s group sales climbed to €13.44 billion, surpassing analysts’ consensus estimates of €12.67 billion. 

The company’s biopharmaceuticals segment was the primary growth engine, delivering €12.17 billion in revenue, well above expectations of €11.37 billion. 

The beat was driven by a 19% surge in vaccine sales, attributed to the success of Beyfortus and the earlier-than-expected shipment of flu vaccines.

Beyfortus, launched in partnership with Sobi, exceeded forecasts. The drug posted €645 million in sales, easily beating consensus estimates of €360 million, as flagged by Sobi in its own Q3 results earlier this week. 

The earlier rollout of flu vaccines added further momentum to Sanofi’s vaccine unit, contributing to the overall 15% boost in operating income, which reached €4.61 billion.

While Sanofi’s star anti-inflammatory drug Dupixent, a joint venture with Regeneron (NASDAQ:REGN), met expectations with global sales of €3.48 billion, the company’s consumer healthcare division posted a 3% miss. 

The company reported business EPS of €2.86, well above the consensus figure of €2.49.

Jefferies now see potential for further upgrades to earnings forecasts, with 2024 guidance suggesting stable-to-modest growth in business EPS. 

For 2025, Sanofi reiterated expectations of a “strong rebound” in earnings, driven by pipeline advancements and geographic expansion efforts for key products like Beyfortus.

In research updates, the company indicated that several key clinical trials had been rescheduled. 

Phase II results for amlitelimab, an experimental treatment for asthma, have been delayed to the first half of 2025, while earlier readouts are expected for its oral psoriasis therapy and a next-generation rabies vaccine.